TaxTMI 
TaxTMI 
One time LIc premium Nov 2004 ₹ 575000
Maturity Amount ₹ 970000 received on Jan 2015 TDS ₹ 19500
What is taxable amount.
income tax on lic maturity
02 Jan 2016 
5 Replies 
2178 Views Asked by
Taxability of insurance policy maturity: full proceeds treated as taxable for TDS where premium previously claimed as deduction.
The thread contrasts a claim of exemption on policy maturity with the view that the entire maturity is taxable for TDS because the single premium exceeded a qualifying threshold and the premium had earlier been claimed as a deduction, leading to the practical conclusion that the full maturity proceeds were subject to TDS to avoid double benefit. (AI Summary)
The thread contrasts a claim of exemption on policy maturity with the view that the entire maturity is taxable for TDS because the single premium exceeded a qualifying threshold and the premium had earlier been claimed as a deduction, leading to the practical conclusion that the full maturity proceeds were subject to TDS to avoid double benefit. (AI Summary)